If you’re considering buying a house in Melbourne, waiting until later in the year could cost you more than just time. January and February present unique opportunities for first-home buyers and savvy investors alike. Here’s why starting your home search early in the year is a smart move—especially in Melbourne’s dynamic property market.
Why Most Buyers Postpone Their Search
Many buyers hit pause during the holidays, often thinking, “I’ll wait until the new year to start looking.” It seems logical—December is busy, property listings dwindle, and many hope for better market conditions in the new year.
However, Melbourne’s real estate market doesn’t transform overnight. Buyers who delay their search often find themselves in predictable cycles of waiting for “the perfect time,” missing golden opportunities in January and February.
What Makes January and February a Buyer’s Market?
1. Reduced Competition
Most buyers resume their search in February or March, leading to intense competition for new listings. By starting earlier, you’ll face fewer bidders, making it easier to secure a home.
2. Overlooked Listings
Properties that have been on the market over the holidays are often undervalued or ignored by other buyers. Sellers of these “stale” listings may be more willing to accept offers below asking price.
3. Distressed Sales & Investor Exits
Melbourne currently has a high number of homes for sale, partly due to increased distressed sales and investors exiting the market because of new Victorian government taxes. These factors make early 2025 an ideal time to buy.
4. Motivated Sellers
Homes that linger on the market often lose appeal to buyers, creating opportunities for savvy purchasers. Sellers are more likely to negotiate favourable terms or lower prices to close the deal.
How to Maximise Your January & February Home Search
1. Targeting “Stale” Listings
Focus on homes that have been on the market over the holidays. These properties are often overlooked by other buyers and present excellent negotiation opportunities.
2. Check Off-Market Properties
Some sellers temporarily pull their listings during the holidays, intending to relist them later. Reach out to the listing agents to see if any of these properties are still available for purchase.
3. Be Ready to Act
While competition is lower early in the year, great properties still attract attention. Have your finances and pre-approval in place to move quickly on opportunities.
4. Working with a Buyers Advocate
Navigating Melbourne’s property market can be complex. A buyers advocate can help you identify undervalued properties, access off-market opportunities, and negotiate the best deal on your behalf.
What Happens If You Wait?
By delaying your search until later in the year, you risk:
•Increased Competition: More buyers flood the market as the year progresses, especially in Spring.
•Higher Prices: Greater competition can drive up prices, making it harder to secure a good deal.
•Missed Opportunities: Early 2025 is a prime time to find motivated sellers and capitalise on reduced competition.
Your January 2025 Home-Buying Game Plan
1. Start Searching Now: Focus on holiday leftovers and reach out to agents about off-market opportunities.
2. Working with Professionals: Engage a buyers advocate to guide you through Melbourne’s unique market conditions.
3. Stay Active: Even if you don’t secure a property immediately, staying engaged early in the year gives you an edge over buyers who enter the market later.
The Takeaway
The start of 2025 offers a window of opportunity for buyers willing to act early. Melbourne’s unique market conditions, including an increase in homes for sale and motivated sellers, make January and February the ideal time to begin your home search.
Don’t fall into the cycle of waiting for “the perfect time.” Get ahead of the competition, secure a better price, and take your first step toward homeownership today.
Melanie Dennis – Buyers Advocate
